Minimum requirements for rules concerning CCUs
261 Minimum requirements for rules concerning CCUs
The rules of a co‑operative that permit the co‑operative to issue CCUs must contain provision to the effect of the following provisions and cannot contain provisions that are inconsistent with the following provisions —
either (as specified in the rules) —
each holder of a CCU is entitled to one vote only at a meeting of the holders of CCUs; or
each holder of a CCU is entitled to one vote per CCU held at a meeting of the holders of CCUs;
the rights of the holders of CCUs may be varied only in the way and to the extent provided by their terms of issue and only with the consent of at least 75% of those holders of CCUs who, being entitled to do so, cast a formal vote to accept the variation at a meeting;
the holder of a CCU has, in the person’s capacity as a holder of a CCU, none of the rights or entitlements of a member of the co‑operative;
the holder of a CCU is entitled to receive notice of all meetings of the co‑operative and all other documents in the same manner as the holder of a debenture of the co‑operative.
[Section 261 amended: No. 7 of 2016 s. 93.]
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